Before begging your condo search, make sure that you understand what financing you are doing. There are couple of different financing options that you might go for but if you go FHA (not bad at all) you have to make sure the condo development that you are interesting in purchasing is FHA approved.

Importance of FHA financing

By choosing FHA, it allows a home buyer to put down a minimum of 3.5% for the down payment. These loans work well for first time home buyers given that not so giant payment needed, you can save your money for other things.

Just because the building is not FHA approved, doesn’t necessarily mean you can’t use a FHA loan. Lenders can do a ‘spot approval’ on the building if they want but it has to meet certain guidelines and could delay the process.

Almost all new condo buildings being developed these days apply for FHA approval because developers realize the importance of a building appealing to FHA buyers.

As of the date this post was published, there are  140 condo developments in Minneapolis that are FHA financing approved.

Click here for an approved list of condos, just type in the information that you are looking for.